Late lodgments of tax returns and business activity statements (BASs) can lead to hefty penalties and unnecessary stress for small businesses. However, there is good news! The Australian Taxation Office (ATO) has introduced the small business lodgment penalty amnesty program, offering relief for eligible businesses to bring their outstanding lodgments up-to-date. In this blog post, we will delve into the details of the amnesty program and explain how you can take advantage of this opportunity to avoid penalties.

Understanding the Small Business Lodgment Penalty Amnesty

The small business lodgment penalty amnesty program was announced on 9 May 2023 as a lifeline for small businesses struggling with late lodgments. This program allows eligible businesses to rectify their overdue tax returns and BAS without incurring penalties.

Eligibility Criteria

To be eligible for the amnesty, your business must meet the following criteria:

• Annual turnover of under $10 million at the time the original lodgment was due.
• Outstanding tax returns or BAS that were due between 1 December 2019 and 28 February 2022.
• Lodge between 1 June and 31 December 2023.

Benefits of the Amnesty Program

If you meet the eligibility criteria, the small business lodgment penalty amnesty program offers significant benefits:

• Automatic Remission of Failure to Lodge Penalties: Any penalties related to late lodgments will be automatically waived.
• Opportunity to Understand Net Tax Position: Bringing your lodgments up-to-date will help you gain clarity on your net tax position, allowing you to plan and manage your finances more effectively.
• Self-Serve Payment Plan Option: In case you have a debt, you can set up your own payment plan online through the ATO's self-serve payment plan option for debts up to $100,000.

Taking Action and Seeking Assistance

It's crucial to act promptly to take advantage of the small business lodgment penalty amnesty program. Here's what you should do:

1. Check Your Eligibility: Contact taxation specialists at WSC Group to assess your eligibility for the amnesty program.
2. Gather Necessary Documentation: Collect all outstanding tax returns and BAS that need to be lodged.
3. Seek Professional Assistance: WSC Group can provide expert guidance and support throughout the lodgment process, ensuring accuracy and compliance.
4. Take Advantage of the Payment Plan Option: If you have a debt, explore the self-serve payment plan option provided by the ATO to manage your payments conveniently.

Late lodgments can have serious consequences for small businesses, but the small business lodgment penalty amnesty program offers a golden opportunity to rectify the situation without incurring penalties. By meeting the eligibility criteria and taking advantage of this program, you can bring your outstanding tax returns and BAS up-to-date and gain a clear understanding of your net tax position. Remember, seeking professional assistance from experts like WSC Group can simplify the process and ensure compliance with ATO regulations. Don't delay! Contact WSC Group today to check your eligibility for the amnesty program and get the assistance you need to navigate through your lodgments successfully.

Contact WSC Group today at info@wscgroup.com.au or 1300 365 125 to determine your eligibility for the small business lodgment penalty amnesty program and get expert assistance with your late lodgments. Let us help you stay compliant and avoid unnecessary penalties.

Note: The material and contents provided in this publication are informative in nature only. It is not intended to be advice and you should not act specifically on the basis of this information alone. If expert assistance is required, professional advice should be obtained.